Retirement Council of America Inc.

What You Need to Know

There are only two ways to make money: you can work for your money, or your money can work for you. One thing is for sure, there will come a time when you can no longer work for your money. If you don't want to be dependant on others, then you'll need a sufficient amount of money working for you.

A dollar lost, is lost forever. A dollar saved, must earn you valuable interest. You can't afford to be kept in the dark. Money is a tool, and you need that tool to have a fun-filled retirement doing in life those things you want to do.

Here at Retirement Council of America Inc. we can help you reach your goals through Retirement Planning, ESOP, IRA's, 401K and Annuities.

Know your interest rate. Following the Rule of 72 will help build financial awarenes and put you on the path to success.

Make Your Money Work For You, Follow The Rule of 72

The Rule of 72 is a quick and easy way to estimate the approximate doubling time of your investment. Simply divide 72 by your annual rate of interest or earnings. The result will tell you roughly how many years it will take for your investment to double.

For example, if you earn 6% per year, your initial investment will double in about 12 years (72 divided by 6 = 12). If you are fortunate enough to earn 12% per year it would double in just 6 years!

INTEREST RATE APPROXMATE DOUBLING TIME
12%6 Years
8%9 Years
6%12 Years
4%18 Years

Rates are hypothetical and do not represent any specific investment.


Why You Can't Afford to Lose Your Money

One of the ways to help your money grow is through investment, but so many investments can go horribly wrong without sound financial advice. Here at Retirement Council of America Inc. we can help.

As everyone knows, once you begin to lose money it gets harder and harder to break even. For example, lets say that Mr. Jones invests $100,000 in the stock market. If he lost 30% on his initial investment, he would be left with only $70,000. In order to break even and recuperate the losses, getting him back to his original $100,000, he would need to make 43% on his remaining money.

Losses like these are all too common and very hard to recover from. The following table shows the steep kinds of gains needed to recover from losses.

LOSS GAIN NEEDED TO BREAK EVEN
30%43%
40%67%
50%100%
60%150%
70%233%
80%400%

So what is the answer? How can devastating losses be avoided and how can you make your money back? Here at Retirement Council of America we offer a range of specialized services that will put you on the track to financial success.

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